There is no doubt that the coronavirus pandemic has changed the way we live, work, interact, and do business. People are now averse to handshakes and hugs. People now have to find ways to work without coming into close contact with others. Sadly, things would continue this way until our scientists are able to find a cure or vaccine for this illness. But before they do, what does this mean for businesses all over the world.

Most businesses are hanging by a thread. With borders closed, businesses that depend on the exportation of raw materials or even finished goods will not be able to meet the demands of their customers. Sadly, this means that there would be a reduction in sales and an equivalent reduction in revenues. A milk-producing factory that had already produced its estimated quantity of milk for exportation was forced to throw away most of it. This is due to low demand. Many other businesses suffer in their own stride, and as the borders remain closed, businesses will continue to lose.

The entertainment industry is barely surviving too. Profits have dwindled because people no longer purchase tickets to meet in large crowds. Media companies may need to return already sold tickets.

Effects of Covid-19 on Business

Davido Performing at a Concert (Source: Google)

We have no choice but to turn to the government for assistance as the future of our economy is at stake. Will the government come to the rescue and provide finances for small and medium-sized businesses to keep them from going under? Or will it be a case of “every business for itself” kind of thing?

Businesses that suffer the most are businesses that require the physical presence of their customers. For instance, restaurants, parks, gardens, recreational centres, movie theatres, and the likes. However, most online businesses seem to have it under control. Those businesses do not require the physical presence of their customers.  They are still able to provide quality products and services. No matter where their customers are, they would still benefit from quality products and services.

Could this be a rise of a new era? Technology has no doubt changed a lot of things in the past. The coronavirus pandemic has caused a disruption.  People are forced to increase certain things. The intensity of the need to change, a need to move with the times, a need to use technology as a building block to propel themselves forward to a future. The future they only thought would come much later. The future is with us here and now.

Written by : Stephanie Korve

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